What is Tax Avoidance?

A definition of Tax Avoidance

“Tax avoidance is the legal practice of using strategies to minimize the amount of tax an individual or business owes to the government while complying with the tax laws.”

Tax Avoidance in Business Glossary - What is Tax Avoidance?

Business Glossary > What is Tax Avoidance?


Examples of Tax Avoidance in a Sentence:

Companies often engage in tax avoidance to legally reduce their tax bills.

The firm employed tax avoidance strategies to lower its fiscal responsibility.

Our accountant is skilled in tax avoidance, saving us a significant amount annually.

Why is Tax Avoidance Important in Business?

Understanding and implementing tax avoidance techniques can lead to significant savings for businesses and individuals. It is crucial for financial planning and retaining more capital for investment and business growth.

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Associated Terms

Here are some associated business terms and synonyms for “Tax Avoidance”:

  • Tax Optimization
  • Tax Efficiency
  • Tax Minimization

Apple Tax Avoidance

Apple has been renowned for its tax avoidance practices, strategically maneuvering its operations across different jurisdictions to take advantage of lower tax rates and favorable regulatory environments, significantly reducing its global tax burden.

Final Notes on Tax Avoidance

While tax avoidance is legal, it’s essential to ensure compliance with all tax laws. Missteps can lead to penalties and a damaged reputation.

  • Review legal tax planning services
  • Ensure compliance with regulations
  • Regularly update strategies based on legal changes


This has been a definition of Tax Avoidance meaning.

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